# Roper Technologies (ROP.US)

Canonical: https://gigainvestors.com/s/ROP

Analysis as of: 2026-10-16T07:31:39.741Z. Financial observations: FY1996–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $382.45 per share; close as of 2026-10-15.

Estimated value: low $302.93 per share, central $344.41 per share, high $399.65 per share. Buy at or below the central value $344.41 per share. Valuation as of 2026-10-16T07:31:39.741Z; scenarios are not confidence intervals.

Expected annual return: 9.3% at the stated quote. About 9.3% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: pass

- 2 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 0

- Operating margin variation: 0.03×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.26×

- FY2018: 0.27×

- FY2019: 0.28×

- FY2020: 0.26×

- FY2021: 0.28×

- FY2022: 0.28×

- FY2023: 0.28×

- FY2024: 0.28×

- FY2025: 0.28×

- LTM to Jun 2026: 0.28×

### moat: pass

- ROIC, median of available years: 22.9%

- ROIC, second-lowest year: 18.3%

- Typical minus recent gross margin: -0.9 pp

- Typical gross margin (annual median): 68.3%

- Recent gross margin (lower of latest and 3-year median): 69.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 1.2%

- ROIC including acquisitions, ten-year median: 8.6%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 28.7%

- FY2017: 45.0%

- FY2018: 37.1%

- FY2019: 31.9%

- FY2020: 15.5%

- FY2021: 18.3%

- FY2022: 19.5%

- FY2023: 21.4%

- FY2024: 22.4%

- FY2025: 23.5%

### economics: pass

- Owner earnings / net income, 5-yr: 1.50×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $10B

- Net income, five-year total: $6.8B

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -0.6 pp

- Working capital / revenue, change between three-year averages: -3.9 pp

- Working capital / revenue, final three-year average: 15.2%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.50×

- FY2022: 1.49×

- FY2023: 1.47×

- FY2024: 1.48×

- FY2025: 1.55×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 37.1% vs 22.4%

- Per-share earnings: 6.85 to 14.20 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.6%

- Ordinary dilution, 5-year annual growth: 0.5%

- Market cap gain: $29B

- Cumulative retained earnings: $13B

- Diluted shares, 10-year annual growth: 0.6%

- Diluted shares, 5-year annual growth: 0.5%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 9.5%

- Per-share value change: $7.35

- Per-share value, starting three-year median: $6.85

- Per-share value, ending three-year median: $14.20

- Buybacks concentrated in cheaper years (correlation): -1.00

- Average buyback yield: 1.6%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Acquisition spending: $23B

- Cumulative net income, 10 years: $12B

- ROIC, first three-year median: 37.1%

- ROIC, last three-year median: 22.4%

Chart: Earnings per share; fiscal year observations.

- FY2016: $6.43

- FY2017: $9.39

- FY2018: $9.05

- FY2019: $16.82

- FY2020: $8.98

- FY2021: $10.30

- FY2022: $11.13

- FY2023: $12.89

- FY2024: $14.35

- FY2025: $14.20

### accounting: pass

- Sloan accruals: -2.9%

- Receivables to sales index (DSRI): 1.08×

- Restructuring years, last five: 1

- Stock compensation / operating cash flow: 6.5%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.65×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.56×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.1%

- FY2017: -1.8%

- FY2018: -3.2%

- FY2019: 1.7%

- FY2020: -2.4%

- FY2021: -3.9%

- FY2022: 1.7%

- FY2023: -2.3%

- FY2024: -2.7%

- FY2025: -2.9%

## Holders

- [Chuck Akre](https://gigainvestors.com/AC): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [David Hoeft](https://gigainvestors.com/DAC): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Bill Nygren](https://gigainvestors.com/HA): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Bill Ruane](https://gigainvestors.com/RC): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 35% since Mar 2025 · "Roper forecasts 2026 revenue, profit below estimates on soft government contract demand" (finance.yahoo.com, Jan 2026) · sales +4.8%

Story as of 2026-10-16T09:59:31.466Z; price observation 2026-10-15.

Price needs cash profits to grow 2.2% a year for ten years

- 2025-10-23: Roper cuts annual profit forecast as acquisition costs bite ([finance.yahoo.com](https://finance.yahoo.com/news/roper-cuts-annual-profit-forecast-124705843.html))

- 2026-01-27: Roper forecasts 2026 revenue, profit below estimates on soft government contract demand ([finance.yahoo.com](https://finance.yahoo.com/news/roper-forecasts-2026-revenue-profit-155043734.html))

- 2026-04-23: Roper Technologies raises 2026 profit forecast as AI demand boosts software sales ([finance.yahoo.com](https://finance.yahoo.com/sectors/technology/articles/roper-technologies-raises-2026-profit-120945767.html))

- 2026-07-23: Roper Q2 Earnings Top Estimates, Application Software Sales Up Y/Y ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/roper-q2-earnings-top-estimates-153300550.html))

### Sales · FY2025–2026

sales +4.8%; source https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm; observed 2026-02-24.

- FY2017: $4.6B 

- FY2018: $5.2B 

- FY2019: $5.4B 

- FY2020: $4.9B 

- FY2021: $4.8B 

- FY2022: $5.4B 

- FY2023: $6.2B 

- FY2024: $7.0B 

- FY2025: $7.9B 

- FY2026: $8.3B 

### Gross margin · FY2025

gross margin 69.2%; source https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm; observed 2026-02-24.

- FY2016: 61.5% 

- FY2017: 62.2% 

- FY2018: 63.2% 

- FY2019: 63.9% 

- FY2020: 67.4% 

- FY2021: 70.5% 

- FY2022: 69.9% 

- FY2023: 69.7% 

- FY2024: 69.3% 

- FY2025: 69.2% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in software application; annual sales are USD 7.9 billion.

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); FY2025: revenue 7902500000; grossProfit 5472000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ROP.US: Roper Technologies, Inc. designs and develops vertical software and technology enabled products in the United States, Canada, Europe, Asia, and internationally. Its Application Software segment offers comprehensive management, diagnostic and laboratory information management, enterprise software and information solutions, K-12 school administration, transportation management, financial and compliance management, cloud-based and integrated payment processing, campus technology and payment, and cloud-based financial analytics, performance management software, and data solutions; cloud-based software for the property and casualty insurance industry; and foodservice technologies. The Network Software segment provides cloud-based data, collaboration, and estimating automation software; electronic marketplace; visual effects and 3D content software; cloud-based software and AI-enabled analytics solutions for the life insurance and financial services industries; supply chain software; health care services and software; data analytics and information; pharmacy software solutions;  and AI-enabled SaaS providing digital engagement, as well as church management and integrated giving solutions for faith-based organizations. The Technology Enabled Products segment offers ultrasound procedures accessories; dispensers and metering pumps; wireless sensor network and solutions; automated surgical scrub and linen dispensing equipment; water meters; optical and electromagnetic precision measurement systems; RFID card and credential readers; and medical devices. It distributes and sells its products through direct sales offices, manufacturers' representatives, resellers, and distributors. The company was formerly known as Roper Industries, Inc. and changed its name to Roper Technologies, Inc. in April 2015. Roper Technologies, Inc. was incorporated in 1981 and is based in Sarasota, Florida.

### Why customers stay

Margins ranged from 69.2% to 69.7% during 2023–25; it earns 22.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2023: grossProfit / revenue = 69.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2024: grossProfit / revenue = 69.3%.

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); FY2025: grossProfit / revenue = 69.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); 10-year return on capital observations [[2016,0.2869384038890107],[2017,0.44970393940243614],[2018,0.3706413086540446],[2019,0.31910076995780945],[2020,0.15500339460293475],[2021,0.1828836913642154],[2022,0.19511131968501647],[2023,0.21370026910431272],[2024,0.223518904455805],[2025,0.23512974297722888]]; median 0.22932432371651695. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 70% gross margin through 2022 cost inflation.

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); Gross margin observations: [[2021,0.7049526252637677],[2022,0.6986112662422279],[2023,0.6972061251578232]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back USD 500 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2016: growth capex 0; upkeep 40106000; owner earnings 859039000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2017: growth capex 0; upkeep 59536000; owner earnings 1257236000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2018: growth capex 0; upkeep 58600000; owner earnings 1252800000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2019: growth capex 0; upkeep 62900000; owner earnings 2113800000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2020: growth capex 0; upkeep 48900000; owner earnings 1392400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2021: growth capex 0; upkeep 62600000; owner earnings 1650000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2022: growth capex 0; upkeep 70300000; owner earnings 1768200000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2023: growth capex 0; upkeep 108000000; owner earnings 2031400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); FY2024: growth capex 0; upkeep 66000000; owner earnings 2296100000. Growth capex / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); FY2025: growth capex 0; upkeep 47400000; owner earnings 2387100000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); Dividend observations: [[2016,121100000],[2017,142800000],[2018,170100000],[2019,191700000],[2020,214100000],[2021,236400000],[2022,262300000],[2023,290200000],[2024,321900000],[2025,355000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); FY2025: cash repurchases 500000000 USD.

### Are managers owners

Insiders own 0.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); ROP.US SharesStats.PercentInsiders = 0.388 percentage points; cache date 2026-10-16.

### What could break it

"Our indebtedness may affect our business and may restrict our operating flexibility." (SEC filing, Feb 2026)

- Source: https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm (filed 2026-02-24); Our indebtedness may affect our business and may restrict our operating flexibility.

### What the price says

The price assumes cash profits grow 2.2% yearly over ten years; actual growth was 10%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-24); Ten-year compound average after fade. Initial solved rate 0.018775062649166396. Price 382.45; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 8.504857426892526 → FY2025 22.06192236598891. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $173.31 per share

- 2016-11: $181.11 per share

- 2016-12: $183.08 per share

- 2017-01: $191.85 per share

- 2017-02: $209.20 per share

- 2017-03: $206.49 per share

- 2017-04: $218.70 per share

- 2017-05: $227.20 per share

- 2017-06: $231.53 per share

- 2017-07: $232.46 per share

- 2017-08: $230.66 per share

- 2017-09: $243.40 per share

- 2017-10: $258.17 per share

- 2017-11: $267.21 per share

- 2017-12: $259.00 per share

- 2018-01: $280.59 per share

- 2018-02: $275.09 per share

- 2018-03: $280.69 per share

- 2018-04: $264.19 per share

- 2018-05: $275.79 per share

- 2018-06: $275.91 per share

- 2018-07: $301.90 per share

- 2018-08: $298.37 per share

- 2018-09: $296.21 per share

- 2018-10: $282.90 per share

- 2018-11: $297.59 per share

- 2018-12: $266.52 per share

- 2019-01: $283.26 per share

- 2019-02: $323.65 per share

- 2019-03: $341.97 per share

- 2019-04: $359.70 per share

- 2019-05: $343.92 per share

- 2019-06: $366.26 per share

- 2019-07: $363.65 per share

- 2019-08: $366.76 per share

- 2019-09: $356.60 per share

- 2019-10: $336.96 per share

- 2019-11: $360.37 per share

- 2019-12: $354.23 per share

- 2020-01: $381.66 per share

- 2020-02: $351.70 per share

- 2020-03: $311.81 per share

- 2020-04: $341.03 per share

- 2020-05: $393.80 per share

- 2020-06: $388.26 per share

- 2020-07: $432.45 per share

- 2020-08: $427.19 per share

- 2020-09: $395.11 per share

- 2020-10: $371.34 per share

- 2020-11: $427.00 per share

- 2020-12: $431.09 per share

- 2021-01: $392.91 per share

- 2021-02: $377.62 per share

- 2021-03: $403.34 per share

- 2021-04: $446.44 per share

- 2021-05: $450.01 per share

- 2021-06: $470.20 per share

- 2021-07: $491.34 per share

- 2021-08: $483.28 per share

- 2021-09: $446.13 per share

- 2021-10: $487.87 per share

- 2021-11: $464.15 per share

- 2021-12: $491.86 per share

- 2022-01: $437.16 per share

- 2022-02: $448.22 per share

- 2022-03: $472.23 per share

- 2022-04: $469.92 per share

- 2022-05: $442.44 per share

- 2022-06: $394.65 per share

- 2022-07: $436.67 per share

- 2022-08: $402.58 per share

- 2022-09: $359.64 per share

- 2022-10: $414.54 per share

- 2022-11: $438.89 per share

- 2022-12: $432.09 per share

- 2023-01: $426.75 per share

- 2023-02: $430.20 per share

- 2023-03: $440.69 per share

- 2023-04: $454.78 per share

- 2023-05: $454.22 per share

- 2023-06: $480.80 per share

- 2023-07: $493.05 per share

- 2023-08: $499.06 per share

- 2023-09: $484.28 per share

- 2023-10: $488.57 per share

- 2023-11: $538.25 per share

- 2023-12: $545.17 per share

- 2024-01: $537.00 per share

- 2024-02: $544.73 per share

- 2024-03: $560.84 per share

- 2024-04: $511.46 per share

- 2024-05: $532.76 per share

- 2024-06: $563.66 per share

- 2024-07: $544.75 per share

- 2024-08: $554.41 per share

- 2024-09: $556.44 per share

- 2024-10: $537.73 per share

- 2024-11: $566.44 per share

- 2024-12: $519.85 per share

- 2025-01: $575.65 per share

- 2025-02: $584.50 per share

- 2025-03: $589.58 per share

- 2025-04: $560.08 per share

- 2025-05: $570.27 per share

- 2025-06: $566.84 per share

- 2025-07: $550.40 per share

- 2025-08: $526.31 per share

- 2025-09: $498.69 per share

- 2025-10: $446.15 per share

- 2025-11: $446.22 per share

- 2025-12: $445.13 per share

- 2026-01: $371.23 per share

- 2026-02: $349.73 per share

- 2026-03: $353.86 per share

- 2026-04: $354.81 per share

- 2026-05: $325.53 per share

- 2026-06: $338.39 per share

- 2026-07: $391.97 per share

- 2026-08: $424.64 per share

- 2026-09: $349.41 per share

- 2026-10: $368.41 per share

## Annual estimated value (USD per share)

- FY2016: low $98.25 per share, central $110.88 per share, high $127.70 per share

- FY2017: low $116.04 per share, central $131.27 per share, high $151.54 per share

- FY2018: low $133.59 per share, central $151.66 per share, high $175.72 per share

- FY2019: low $140.43 per share, central $159.00 per share, high $183.72 per share

- FY2020: low $138.97 per share, central $157.85 per share, high $182.99 per share

- FY2021: low $144.70 per share, central $164.32 per share, high $190.44 per share

- FY2022: low $187.38 per share, central $212.33 per share, high $245.55 per share

- FY2023: low $207.80 per share, central $236.33 per share, high $274.32 per share

- FY2024: low $234.70 per share, central $266.99 per share, high $309.99 per share

- FY2025: low $263.79 per share, central $299.98 per share, high $348.16 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:37:25.035Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/882835/000088283526000009/rop-20251231.htm); period 2025-12-31, filed 2026-02-24.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.